Loan Calculator
Updated on 20 Oct 2026 · Checked by Aotob
Borrowing $20,000 at 9% over 5 years costs $415 a month.
In total you pay $24,910, of which $4,910 is interest. The rate here is the yearly rate (APR) before any fees.
Monthly payment
$415.17/month
Interest adds 24.6% to what you borrow. Try an extra payment to see how much it saves.
Show the working
M = P × r(1+r)ⁿ ÷ ((1+r)ⁿ − 1)
P = 20,000 r = 9% ÷ 12 = 0.007500 n = 60
M = 415.17
Payments by year
| Year | Principal | Interest | Balance |
|---|---|---|---|
| 1 | 3,317 | 1,665 | 16,683 |
| 2 | 3,628 | 1,354 | 13,056 |
| 3 | 3,968 | 1,014 | 9,088 |
| 4 | 4,340 | 642 | 4,747 |
| 5 | 4,747 | 235 | 0 |
| Total | 20,000 | 4,910 |
Questions people ask
Is a longer loan cheaper?
The payment is lower but you pay more interest. $20,000 at 9% costs $2,896 in interest over 3 years, $4,910 over 5 and $7,030 over 7.
What rate should I use?
Use the APR from your loan offer. It includes most fees, so it is the fairest way to compare loans.
Does it work in my currency?
Yes. The maths is the same everywhere. Pick your country at the top to see amounts in your currency.
Updated 20 Oct 2026Source: standard loan amortization formulaChecked by AotobAn estimate, not financial adviceReport an issue